FirstEnergy Corp., a prominent power plant operator, is fronting the legal costs for its former executive involved in an Ohio racketeering case. The prosecution alleges that the case includes instances of bribing the state’s top utilities regulator. The executive, Michael Dowling, served as the senior vice president of external affairs for the Akron-based utility firm.
Although the decision to cover Dowling’s legal expenses might seem anomalous, given that the allegations paint FirstEnergy as both a criminal offender and a sufferer, it is identified as a common approach by other observers. Such agreements are frequent on corporate boards as a measure to allure and safeguard board members.
Details of the case were disclosed by a recent filing from the office of Ohio Attorney General, Dave Yost.
For more information on the case, click here.